Sec. 2. A state governmental body may not make a deduction
from the compensation paid to an officer or employee whose
compensation is paid in full or in part from state funds unless
the deduction is authorized by law.

You first ask whether article 6813e applies to public community
junior colleges.

This statute defines 'state governmental body' in part as
follows:

(1) a board, commission, department, office, or other agency
that is in the executive branch of state government and that was
created by the constitution or a statute of the state, including
an institution of higher education as defined by Section 61.003,
Texas Education Code, as amended . . ..

Section 61.003 of the Texas Education Code defines 'institution
of higher education' to include 'any public junior college.'
Article 6813e therefore applies to officers and employees of
public community junior colleges whose compensation is paid full
or part from state funds.

You next ask whether article 6813e, V.T.C.S., prohibits
deduction from the compensation of public community junior
college officers or employees when the deduction is for personal
savings or indebtendness and is forwarded to a credit union or
bank.

The answer to your question depends on whether this kind of
transaction involves 'a deduction from the compensation paid' to
the officer or employee. 'Deduction' is defined by the dictionary
as 'something that is or may be subtracted,' for example,
deductions from taxable income. Webster's New Collegiate
Dictionary 293 (1980). we believe article 6813e, V.T.C.S.,
applies to any amount subtracted from an employee's paycheck
representing take-home pay. Thus, article 6813e, V.T.C.S., would
prohibit deductions from the compensation of public community
junior college officers and employees when the deduction is for
personal savings or indebtedness to be forwarded to a credit
union or bank.

A brief submitted to this office suggests that article 6813e
does not apply to deductions which merely constitute a different
form of payment to an employee, such as payment of a portion of
his salary to his credit union account. However, there are
currently on the books statutes which effectively offer a
different form of payment to the employee. Article 6252-3b,
V.T.C.S., allows public employees to participate in deferred
compensation plans. Even though the employee will ultimately
receive the money, the legislature considered it necessary to
enact a statute authorizing state officers to defer an employee's
compensation.

The legislative history reveals, some discussion of the deposit
of an entire paycheck in the employee's credit union account.
Senate Floor Tape 1, side 1, Senate Bill No. 118, 2d Reading.
Feb. 23, 1981. However, the discussion did not cover the
transfer of a portion of the employee's check to this savings
account. The distinction between 'deduction' and deposit of a
paycheck in a financial institution is illustrated by section (3)
of article 4344b, V.T.C.S., enacted by the same legislature which
enacted article 6813e, V.T.C.S. This statute concerns the direct
deposit of payroll warrants by magnetic tape transfer. See
Attorney General Opinions
MW-333 (1981);
MW-213 (1980).
Article 4344b provides in part:

(3) Notwithstanding the provisions of any other statute, the
Comptroller of Public Accounts may establish and operate an
electronic funds transfer system to transfer directly into their
accounts in financial institutions only: (i) employees' gross
state salaries less deductions specifically authorized by state
or federal law or reimbursement for travel and subsistence of
employees and (ii) payment of annuitants by the Employees
Retirement System of Texas or the Teacher Retirement System of
Texas under either system's administrative jurisdiction. An
authorized payee must request in writing to participate in any
electronic funds transfer system established and operated by the
Comptroller of Public Accounts. A single transfer may contain
payments to multiple payees without the necessity of issuing
individual warrants for each payee. The Comptroller shall
establish procedures for administering the system and may use the
services of financial institutions, automated clearinghouses, and
the federal government. The use of electronic funds transfer or
any other payment means does not create any rights that would not
have been created had an individual state warrant been used as
the payment medium. The State Treasurer may not make payment of
a state employee's salary before the last working day of the
payroll period. (Emphasis added).

Acts 1981, 67th Leg., ch. 253, at 632. Thus, the legislature
authorized deposit of the employee's salary less deductions
specifically authorized by law. We believe the transfer of a
portion of the employee's salary to his savings account would
constitute a deduction within article 6813e.

You also ask whether section 2.07 of the Education Code
provides authority for such salary deductions. This statute
provides in part:

(b) Any teacher's or school employee's assignment, pledge,
or transfer of his salary or wages as security for indebtedness--or any interest or part of his salary or wages--then due or which
may become due under an existing contract of employment shall be
enforceable only under the following conditions:

(1) Before or at the time of execution, delivery, or
acceptance of an assignment, pledge, or transfer, written
approval must be obtained from the employing authority or
officer, and if the teacher or school employee executing the
instrument is employed by:

. . . .

(C) a college, university, or any other educational
institution, approval of his assignment, pledge, or transfer must
be obtained from the salary disbursement officer of the college,
university, or other educational institution;

(2) Any assignment, pledge, or transfer must be in writting
and acknowledged as required for the acknowledgement of deeds or
other recorded instruments, and if executed by a married person,
it must also be executed and acknowledged in a like manner by his
or her spouse; however, the employer approving an assignment,
pledge, or transfer need not acknowledge it; and

(3) An assignment, pledge, or transfer shall be enforceable
only to the extent that the indebtedness it secures is a valid
and enforceable obligation.

The predecessor of this statute has been held to authorize salary
deductions from teachers' salaries as security for indebtedness
pursuant to the teacher's assignment of salary. Attorney General
Opinions 0-4033, 0-3474 (1941); 0-2141 (1940). See also Attorney
General Opinion M-613 (1970). If an officer or employee has made
an assignment of salary for an indebtedness to a bank or credit
union, we believe section 2.07 would authorize salary deductions
to pay that indebtedness. However, we do not believe section
2.07 authorizes deductions for the purpose of payment into the
employee's savings account. Section 2.07 permits assignments as
security for indebtedness, that is, to pay an obligation to a
third party. See Trevino v. Trevino, 555 S.W.2d 792 (Tex. Civ.
App.--Corpus Christi 1977, no writ) (defining debt). Payment to
the employee's own account does not involve an obligation to a
third party.

SUMMARY

Public community junior colleges are subject to 6813e,
V.T.C.S., which prohibits deductions from the compensation of
public officers and employees unless authorized by law. Article
6813e applies to deductions for personal savings or indebtedness.
Section 2.07 of the Texas Education Code authorizes deductions
from the salaries of employees and officers of such institutions
for indebtedness to be forwarded to a credit union or bank, but
does not authorize such deductions for personal savings.